Upside Down Mortgage

Posts Tagged ‘loan modification credit card debt’

Loan Modification Credit Card

Question: How many missed payments before loan modification?

I am in a financial crunch, and my lender wont help me because I have been current on my mortgage payments so far, but I have been calling to let them know that I make mortgage payment on my credit card and once the limit runs out I will not be able to make payments anymore..well the time has come and I am not going to be able to make payments anymore... how many months can I stay before they will even look at me and help me adjust my mortgage to where I am able to continue paying it? My mortgage is about 55% of my income..and also how bad does missing payments effect your credit?

Answer: Unfortunately, I'm afraid that you do not have the income to support this loan, even if the loan were modified. 55% of income is quite a bit for mortgage expenses. Tack on taxes, utilities, and other living expenses, and you are looking at close to 75% of income. I'm afraid that the bank will see that and view a short sale as the only option.

TurboMod - Loan Modification Software

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Loan Modification Credit

Question: Has anyone done a mortgage lone modification? Do you have to be employed to qualify?

Been out of work for a 4 months, still have savings for another 6 months. I am wondering if anyone has all ready tried to qualify for a loan modification. Not under Freddy Mac or Fanny May mortgage loans, but under other bank mortgage lenders. I may have to take a job at 60% of what I use to make. To keep my house I would need a modification. Does this hurt ones credit?

Answer: Your situation is perfect to qualify for a loan modification, however you really need to get educated on the entire process before attempting to contact your mortgage company.

You need to know exactly how to go about requesting a loan modification because the lenders would prefer to keep your current loan and will not help you if you don't know how to approach them. If you are current on your mortgage,a loan modification does not affect your credit in a negative way.

You could go the professional route and hire an attorney to do the modification for you if you have an extra 1,500 - $5,000 laying around. But you have to be very careful because as with anything that is popular, you will have to sift through to find a legitimate company because there are many scams going on in this field now.

If you have 6 months worth of savings left I would suggest you start educating yourself now because as you know time has a tendency of flying by.

Jay Robins - Tips on Home Loan Modification, Credit, and Short Sale